IMPROVING THE MECHANISM FOR ENSURING ORGANIZATIONAL ECONOMIC SUSTAINABILITY UNDER WORKFORCE OPTIMIZATION: THE CASE OF SIEMENS AG
DOI:
https://doi.org/10.5281/zenodo.23052526Abstract
The article examines the relationship between workforce optimization and organizational economic sustainability using Siemens AG’s publicly available data for 2018-2025. Workforce optimization is interpreted not as mechanical headcount reduction but as a process combining functional redesign, automation, reskilling and the reallocation of labour toward higher-value activities. The study analyses labour productivity, personnel costs and an integrated economic sustainability index incorporating profitability, liquidity, capitalization and cash-flow indicators. Revenue per employee increased from €192.8 thousand in 2018 to €248.2 thousand in 2025. The baseline analysis revealed a strong positive relationship between labour productivity and economic sustainability, although the relationship lost statistical significance after controlling for the time trend. Siemens’ 2025 restructuring experience demonstrates that workforce optimization may involve simultaneous capacity reduction in declining businesses and employment creation in expanding activities. Based on the findings, a six-stage organizational-economic mechanism integrating functional diagnosis, workforce reallocation, reskilling, automation and performance monitoring is proposed.Keywords
workforce optimization, economic sustainability, labour productivity, human capital, digitalization, automation, restructuring, reskilling, HR-analyticsReferences
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